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There is no real absolute rule established by banks and financial companies on the maximum number of loans that can be obtained at the same time. It is certain that a subject can manage to have multiple payday loans in the same period.

It is clear that in order to access credit it is necessary to have a fixed income, however, demonstrable: lenders must be sure that the applicant is able to cover the installments of the products requested in order to avoid cases of insolvency. Under the lens of banks and financial companies, the credit position of the subject ends, who must not present any type of delay in payments.

The part of the income used to pay the loan installments must not usually be more than 20-25% of the total availability. If the installments of any loans that you want to apply for do not go beyond the 1/3 threshold of monthly income, there should be no problems in obtaining other loans even though there are already some of them active.

In addition, the debtor must demonstrate that he is reliable in terms of credit: his name must not appear in the reports of the Central Credit Register for delays or non-payments.

Debt Consolidation: A Good Alternative

A financial solution capable of bringing together all outstanding debts into a single loan is that of debt consolidation. If the loans previously requested foresee the clause for early repayment, you can opt for the loan for debt consolidation and to have only one loan in progress with a single installment which sometimes is even lesser than the sum of the installments of existing loans.

In the case of a debt consolidation loan, credit institutions usually do not require collateral, such as lien or mortgage on property owned by the applicant. Among the most widespread guarantees there is, however, that of a co-obligated person who will act as guarantor. The latter situation becomes recurrent in cases of loan applicants with recent working seniority or when the amount requested for the debt consolidation loan is quite high.

Bad payers: how to behave

The situation changes when dealing with a bad payer. All credit institutions, before granting the credit, carefully evaluate all requests, paying attention to the financial situation of the applicant. The Central Credit Register is thus consulted to verify that the applicant has never had problems in coping with the repayment of one or more installments of a loan as established in the terms of the contract.

And if the name appears in the black-list, it certainly does not mean that funding cannot be obtained but that it will certainly be essential to focus on alternative routes. These include the assignment of the fifth or the loan with delegation.

The assignment of one fifth of the salary or pension is a loan reserved only to employees, both public and private, and to pensioners. It is a non-finalized loan with a fixed interest rate which provides for a repayment in constant installments, the amount of which cannot exceed the fifth part of the monthly salary (or pension).

The repayment of the installments takes place automatically and the debtor’s employer or the pension fund in the case of pensioners is responsible for paying the installments. Those who have a fixed-term contract can take out a loan with a transfer of the fifth but the debt must be paid off at later than the expiry of the employment contract.

Should we mobilize all or part of their savings to serve as a contribution or reduce their debt? This dilemma which presents itself to many debtors can only be resolved by taking into account a multitude of factors: the economic and financial context but also your personal projects, your family situation.

According to the Household Credit Observatory, the proportion of households holding loans fell slightly in 2016, reaching its lowest level since 1989. This is explained in particular by the economic slowdown following the 2008 crisis, which has largely allowed households to be cautious. However, the growth outlook could well trigger a revival in demand for credit, households are more inclined to consume.

Compare credit rates and interest rates on your savings

Should we therefore prefer credit in all circumstances? Not so sure. It all depends on the level of credit interest rates. If they are low, you may want to invest your savings. If they are high, using your savings can be a wise decision.

Take the example of real estate. An amount of € 100,000 placed on the euro fund of a life insurance contract with a net yield of 2% will allow you to have, after fifteen years, a capital of € 135,000. If the credit interest rate is less than 2%, it is better to invest this savings and pocket the difference. This is even more true in the case of the zero rate loan (PTZ), granted on means-tested conditions and which allows certain households to buy their main residence without paying interest.

If, conversely, credit interest rates are higher than those of your savings products, the money that you will borrow will cost you more than what you would earn the one that you could invest. Your interest would then rather be to save and to repay in priority your credit.

Maintain precautionary investment capacity and savings

The arguments developed so far are based on theoretical reasoning. However, we must not forget that a loan is part of a moment of life: finance the acquisition of his main residence, invest in a second home, buy a car for his daughter, equip his son’s new apartment with household appliances.

Likewise, don’t mortgage your future plans by unlocking all your savings to finance a single purchase. On the one hand, it is advisable to keep working capital to cover current expenses. On the other hand, it is preferable to keep a precautionary savings to absorb punctual and high loads (a repair on the car, roofing works, a trip abroad …). If there is no fixed rule in this area, it is generally considered that this precautionary savings must represent around three months’ salary.

An alternative in real estate: prepay your loan

If you still cannot make a decision, be aware that there are situations where it is possible to anticipate the repayment of a loan. This is particularly the case in real estate. Imagine that you had to resell your apartment or house to acquire a larger home. You then have the perfect right to repay your credit before the loan matures: this is called early repayment.

Depending on the case, your credit institution may charge you prepayment penalties, capped at 3% of the principal owed. This can have a deterrent effect, especially if you are at the start of the reimbursement. But paying off your loan early is entirely possible if you only have a few years left. Not to mention that the penalties and the period during which they apply may be part of the negotiation with your banker at the time of signing the mortgage.

There is no single answer to the question of whether it is better to save or repay your credits. It all depends on your personal situation, your plans, but also on the macroeconomic context!

Small Government Agency loans for state teachers

State teachers who need money can take advantage of Social Institute subsidized loans. Products that, unlike what one might think, are dedicated to both civil servants and teachers and school directors. So let’s see how Government Agency state teacher loans work.

Government Agency state teacher loans allow you to face sudden or significant expenses. The maximum amount that can be financed is defined on the basis of the income received by the applicant.

As regards the requirements to be met, Government Agency loans are accessible only to teachers and school directors. Subjects who must be able to count on an open- ended employment contract.

For the purposes of access to credit, the applicant must be in service at a primary state school or kindergarten. Not only. Government Agency loans for state teachers are granted only on condition that the applicant is at least two years away from retirement.

Conditions of Government Agency teacher loans

But how much do you get with Government Agency state teacher loans? The maximum amount that can be financed is equal to two months of salary for the applicant. In this regard, reference is made to income inclusive of ongoing and fixed allowances.

The repayment takes place in 24 months. Payments are monthly and the interest rate applied is 1.50%. And the sums due as interest are withheld in advance from the gross amount of the loan. The same applies to the sums due for the Guarantee Fund and administration costs, calculated at a rate of 1%.

When it is possible to apply for Government Agency loans for tenured teachers

The application for funding must be submitted exclusively electronically using the specific online service. However, it must be remembered that Government Agency loans for state teachers are granted only for specific needs.

In fact, it is possible to apply for a loan at special conditions for teachers only to meet expenses that fall within one of the following cases.

birth or adoption of a child;

purchase of the house of residence;

marriage of the applicant or the child;

death of a family member;

serious illness of the applicant or a family member;

mortgage in progress for first home purchase;

extraordinary maintenance of the first house;

dental care of one’s own or dependent family members;

transfer of residence;

purchase of a car;

attendance to university courses of the applicant or a child;

extraordinary events involving a particular state of economic necessity.

Social Institute scholarships info: who can take advantage of it

The interventions in favor of former Government Agency members, currently pertaining to Social Institute Public Employee Management, are numerous and do not only concern facilitated forms of access to credit. Among the most interested contributions, which make up for some shortcomings by the State, the Government Agency scholarships stand out, now made available through the Social Institute (an institution that has joined the Government Agency since 2011). Just like the regional bodies of the right to study, Social Institute also offers members’ children a cash contribution to support their training.

Who are the Government Agency scholarships for? The official Social Institute website informs that those entitled are represented by students of whom at least one parent (living or deceased who is) is registered with Social Institute (formerly Government Agency). The structures to which students are enrolled can be:

state and legally recognized educational institutions and universities;

Italian schools abroad;

European schools in the EU;

foreign institutes, whose courses are legally recognized as equivalent to the Italian ones.

As you can see, even those who study outside Italy can take advantage of the scholarship. Furthermore, almost all levels of education are involved, from middle school to high school, up to university and postgraduate courses (masters and doctoral students).

To participate, moreover, it is necessary not to have benefited in the current year (academic, non-solar) from a scholarship provided by Social Institute or any other body. However, this limit is valid if the amount already received exceeds 50% of the amount foreseen by the Social Institute scholarship for which you intend to compete.

Scholarships Government Agency application: two calls

The calls through which scholarships are awarded are two. One for students from middle school to university, another for doctoral students and masters. They are generally published between the end of the last quarter of the year and the first quarter of the following year. They can be consulted in the “Welfare Initiatives” section of the Social Institute.it portal.

As far as the application is concerned, this can be forwarded both by the person concerned and by other people.

If the potential beneficiary is not 18 years old, the application must be submitted by a parent. In the case of an orphan beneficiary (as well as a minor), the tutor established by law will replace the parent.

If the potential beneficiary is of age, he will submit the application himself.

The application can only be sent electronically (the operations are performed entirely from a PC). To do this, it is necessary to access, with the PIN code, the Online Services area -> Services for the citizen -> Ex Government Agency services, order the items by alphabetical order and select Scholarships / Academic initiatives -> application. To consult the call, however, it is not necessary to have a PIN.

Scholarships Government Agency calls: the amount of the reimbursement

One question that surely those who intend to propose themselves as beneficiaries is: how much is the contribution? Those with whom the ranking is formed are also decisive. However, there are significant differences compared to the scholarships provided by the normal regional bodies for the right to study.

In the first place, the scholarship of the regional bodies is paid per current year, or at least it is so de jure (in fact there are often serious delays), while that of the Government Agency always reaches the end of the year, as a refund.

Secondly, the criteria for the formation of regional scholarship rankings are generally arranged hierarchically: first the Isee indicator is considered, then in the case of equality between more people, merit is considered (or vice versa). The Social Institute criteria are more complex and involve these two aspects simultaneously, through the calculation of a score.

There are no income limits, although ISEAs above 40,000 USD are awarded zero points (for indicators below 8,000 there are 15 points).

Finally, as regards the amount of the Government Agency scholarships, the two thousand USD are not usually exceeded. Specifically, we have 2,000 USD for university students, 1,000 for students attending masters and doctoral students, while for middle and high schools it goes from 750 USD to 1,000 USD.

At the moment, due to numerous reservations about the legislative procedure, the draft amendments related to the anti-usury act have been suspended by the European Commission. Experts emphasize that the changes may lead to the complete liquidation of loan companies, which may be a direct cause of the growth of the so-called gray area.

Representatives argue that they have not yet said the last word and will continue to work on reducing the activities of loan companies. Either way, any changes they propose must be notified to the European Commission, which leads to longer legislative work.

Anti-usury Act – What awaits loan companies?

The effects of introducing new regulations can be very severe for the loan sector. Due to the lower profitability of business operations, some companies may go bankrupt or terminate their activities, thus non-bank loan offers will disappear from the market completely. In this way, almost 3 million consumers will be cut off from external financing.

As competition on the consumer finance market decreases, prices in the banking sector will increase dramatically. It is speculated that around 40,000 will lose their jobs. persons employed in the loan sector. Moreover, the state budget income will drop by USD 2.2 billion a year.

The new law also includes high fines for usury. It provides for a prison sentence of 3 months to 5 years for anyone who requests the payment of additional costs or interest twice as high as the statutory maximum.

Loan companies will also lose the possibility of bailiffs enforcement of their housing if the debt does not exceed 5%. its values.

Loan costs and the new anti-usury act

In the proposed amendment to the Anti-usury Act proposed on June 18, 2019, the provisions in the Consumer Credit Act, which specifies the maximum amount of non-interest loan costs, have been modified.

Originally, it was to be limited from 25% to 20% of the loan amount and from 30% to 25% of that amount on an annual basis. Soon after, this value was further reduced to increase the protection of borrowers against unethical practices of loan companies.

According to the latest findings, the amount of maximum non-interest loan costs cannot exceed the sum of 10% of the loan value and 10% of this amount on an annual basis.

Pawnshops and the Anti-usury Act

It is suspected that the amendments to the Anti-usury Act will benefit primarily the so-called gray zone, i.e. entities that provide financial assistance unlawfully. Pawnshops are a great example of this, as they in many cases grant loans without respecting the law, yet they are not the subject of the anti-usury act.

Pawnshops should operate in the form of companies with a share capital of at least USD 200,000. USD and obtain an entry in the Register of Loan Institutions of the Polish Financial Supervision Authority. Statistics, however, show that out of over 15,000 Only pawnshops operating in Poland meet the requirements described above.

This conflict can expose financial problems to many consumers who will not receive funding from a non-bank institution, so they will look for solutions to their problems in Good Finance loans.

Arguments for and against the new anti-usury act

The new draft anti-usury act has become the main topic not only in the loan industry but also among financial experts or politicians. They indicated arguments both for and against the adoption of the amendment to the Anti-usury Act. Here are a few of them:

Depending on the point of view, the opinions of those interested in the topic may differ. However, it is difficult to disagree with the arguments presented above, both those for adopting the anti-usury act and for rejecting it. Time will tell whether the introduction of the amendment to the anti-usury act will be good for the financial market.

With our comparison service it is easy to find a low-interest private loan based on your income.Lenders are automatically ranked according to customer ratings, making it easy to find a popular lender who is well-liked by customers.

If you are instead interested in ranking the options based on interest rates, you have the opportunity to sort the lenders by lowest interest rate. However, keep in mind that lenders offering private loans apply individual interest rates, which means that you have to apply for a loan to get already at your exact interest rate.

How much can I borrow with a private loan?

Most lenders state an income requirement of 120,000 dollars, which means that you need a declared annual income of at least 120,000 dollars in order to be granted a private loan without collateral.

Without a security, you do not have to pledge any property and you can use the money for exactly what you want. Private loans are often used for consumption, for example to finance a new car or a renovation.

How much can I borrow based on income?

How much money you can borrow based on a specific income is never specified by the lender. To find out how much money you can borrow, you must apply for a loan. During the application process, the lender will perform a credit check to determine your credit rating and ability to repay. During this process, the lender will also determine how much money you can borrow based on your income and financial situation.

Common requirements

In addition to income requirements, you must meet the lender’s other requirements. These differ between different lenders, but some general requirements are as follows:

You must be at least 18 alt. 20 year.

You must have an income from service or pension. Some lenders specify that you do not have to have a fixed income without sufficient type of employment (hour, exam, temporary).

You must be registered in the country.

You are not allowed to have an outstanding debt.

You may not have a payment note younger than 6 months. All loan intermediaries accept low credit ratings and payment remarks, however, not all lenders offer loans to you who have a history of payment remarks.

Conclusion

How much money you can borrow depends on your credit rating, which is determined during the application process. You must therefore apply for a loan to find out how much you can borrow. Since all lenders carry out a credit report as a basis for the credit assessment, it can be a smart idea to use a loan broker. When the lender contacts up to 30 different lenders, you can be sure that you will receive the highest loan amount based on your financial circumstances.

Discounted personal loans: how should they be?

Subsidized personal loans are a sub-category of personal loans, as they have the following characteristics:

they are personal loans, therefore they are granted to the ‘person’ which makes them a little more flexible for the type of use;

they are facilitated, but the concession is not intended only as non-repayable loans (so the sums obtained in whole or in part must not be returned).

Being with a subsidized rate indicates that the rate obtained is favorable, or lower than the market average. An example can be represented by the Social Institute loans, or those affiliated with banks and financial institutions that guarantee subsidized rates for Social Institute pensioners.

However, the facilitations must also include credit access facilities as happens for example with microcredit and the various guarantee funds, intended above all for small entrepreneurs. In reality, at least as far as today is concerned, for entrepreneurs a personal loan with a subsidized rate is difficult to find in the strict sense of the terms.

The allocation of funds to which they can draw are in fact almost always granted by virtue of calls. These also specify the expenses that can be financed (therefore the characteristic of ‘personal loans at a subsidized rate’ being finalized is lost).

Discounted personal loans: how to apply for them?

The subsidized rate personal loans can be requested only by those who have the characteristics, or the minimum requirements, to be able to access them.

If you have the necessary minimum requirements, then you need to turn to those banks and financial institutions that have one or more subsidized personal loans in their offer. Among the easiest examples to find, which are almost always proposed at least by the big banks, we can mention:

Social Institute loan agreement for pensioners (in the form of assignment of the fifth of the pension). These are loans with subsidized rates and which often involve the elimination of accessory costs;

personal loans for young people : here, in addition to slightly lower rates, we can find facilities linked to linked current accounts (often at zero fees) and some facilities for accessing credit;

loan of honor : it is a classic personal loan, as it is granted to the ‘person’ but which is mainly granted to students. To access it, you need to be part of universities that have agreements in progress or contact banks that provide it. This is almost always linked to an excellent school curriculum (we can find UniCredit and BNL among banks).

Discounted personal loans: do they always agree?

Sometimes personal loans are offered with preferential conditions, and not with a subsidized rate, where more flexible financing to manage is offered. For example, there is the possibility to skip the installment, to change the amounts to be repaid by varying the duration of the amortization plan, etc.

In these cases, it must be ensured that these concessions do not entail costs, that they are easy to use, and that, on the whole, the loan does not end up costing more also in terms of ancillary costs.

In fact, it is not enough to look at the Tan but one must concentrate above all on the Taeg which also includes secondary expenses (not strictly linked to rates).

Special offers

The subsidized personal loans can also be linked to special offers made by credit institutions. In this case it is essential to keep up to date in order to seize the opportunities that the financing market frequently offers today.

Logically there are banks or finance companies that report themselves as more dynamic in this regard and for this reason they must be monitored more constantly. One example is Across Lender which often offers reward rates that come very close to the 0 rate with a Taeg o, o1 (Promo valid until 27 November 2019)

The instant loan is a very good solution when there is an urgent need for money. The advantages of the instant loan lie in the quick processing of the application and the resulting short-term availability of the loan amount for the applicant. Criticism at http://bakernorthrop.com/payday-loans-uk-direct-lenders-brokers/

Special repayments are a great advantage

However, even if there is an acute need for money, one should not forget that different providers offer different conditions and therefore carry out a thorough comparison of different providers. In addition to total costs and the amount of interest, terms and speeds during the payment are relevant criteria.

But the instant loan with special repayment should also be considered. Many providers have this option ready for their customers. An instant loan with a special repayment can help to repay the loan amount faster.

What is an instant loan with special repayment?

Fixed rates and a fixed term are generally agreed for the instant loan, which is paid out within a very short period of time. In addition to other factors, the amount of the installments and thus the term are important bases for calculating the costs that arise from the loan. Long terms with low rates incur higher costs than short terms and high credit rates.

However, it is not always possible to commit to high monthly installments in favor of the favorable loan prices. In this case, the instant loan with special repayment offers the possibility that the loan can be repaid with special payments in addition to the regular installments. This means that special payments such as Christmas bonus, asset-related benefits that are paid out or other amounts of money can be invested in the special repayment.

There are big differences in the instant loan with special repayment option

But even if the instant loan with special repayment is optionally available from the provider, you should not fall back on the first best offer. In the small print, it is often found that high fees are charged for the instant loan with special repayment. This then means that the lender can compensate for the shortened term of the loan, and thus the lost interest, by charging fees accordingly.

Other providers fix free special repayment options for the loan throughout the year. All other special repayments are then subject to charges again. It is therefore important to specify exactly which special repayment options are available free of charge and when or which provider charges are made for this in the case of an instant loan with special repayment.

How do I find the cheapest provider?

The Internet has made it very easy to find a cheap instant loan provider that also accepts special repayments. Many portals on the Internet offer free and non-binding comparison options. With just a few details, you can objectively compare the individual providers, whose conditions are exactly examined under the same conditions and thus find the provider for the instant loan with special repayment who offers this service free of charge or at least very cheaply.

A Good Finance report on credit market activity in February 2014 shows that households are borrowing more and more.

They are moving more towards housing loans than towards cash, personal and revolving loans showing a continuous decline. The Good Finance notes that mortgage rates remain stable at a relatively low level, while consumer loan rates fall slightly.

Credit market recovers

Households borrow more

Banks and credit companies made more home loans to individuals than last year. In February 2014, 3.5% more loans were taken out compared to February 2013. In January, the increase was already + 3.2%.

The monthly flow represented 11.1 billion euros in February, only for housing loans, with a change in monthly outstandings to 3,913 billion euros.

Consumer loans stabilize

Good Finance figures show that the amount of new consumer loans taken out has remained stable for 6 months. They were 3.8 billion in September 2013 and fell slightly to finally find the same amount in January and February.

Borrowing rates are attractive

Still low mortgage rates

The figures from the Good Finance are interesting to compare with the monthly study carried out by the CSA observatory/housing loan. The Good Finance specifies that the average rate of long-term, fixed-rate housing loans was 3.22% in February 2014.

For its part, the CSA / housing loan observatory notes an average monthly rate of 3.04%.

The Good Finance report also highlights the average borrowing rate, for short-term housing loans and variable-rate housing loans. The average was 2.82% in February, a slight drop from January (2.83%).

In any event, it should be remembered that the nominal rate of a home loan varies according to the borrower’s profit. But above all, the cost of a loan is symbolized by its TEG, this is what the advisers of Good Credit will explain to you.

Consumer loan rates start to fall again

The Good Finance report indicates that the average rate of consumer loans was 5.95% in February 2014. This represents a decrease of 0.7 points compared to January 2014. Note that the lowest level of the last 6 months was reached in October, with 5.80%.

Bank overdraft rates rise

It seems that the average rate of overdrafts to individuals has started to rise again. After falling to 7.96% in October, they finish at 8.32% in February. The Good Finance specifies that the average overdraft rate includes ordinary accounts receivable, but also permanent loans.

Is it time to borrow?

Yes, because the conditions are met

Mortgage loan rates are low, it is possible to borrow around 3% nominal rate.

The price per square meter decreases, without however showing dizzying falls. We are therefore in a period where prices adjust according to demand, and where some sellers are ready to grant good conditions.

Buy old renovated

All professionals agree that the best real estate deals are currently in the old with renovations. Housing in which work is necessary to make it habitable can be negotiated with a large discount. The renovation works can be supported by an eco loan at zero rates, which makes the operation even more interesting.

Please note, however, that it is important that the cost of the work, added to the purchase price of the accommodation, does not lead to a total greater than the market value of the housing.

A bank will only lend you for a purchase of old with work if your record shows that you are going to make a good deal. The advisers of Good Credit help you understand how your real estate transaction should go so that it can be financed by the banks.

How much can you borrow?

The first step in acquiring real estate is to measure your purchasing capacity. This capacity depends on your debt ratio, which must not exceed 33% of your net taxable income.

More clearly, the sum of the monthly payments of your current credits (if you have them), added to the future monthly payment of this new mortgage, should not exceed 33% of your net taxable income.

To go faster, use our borrowing capacity calculator. Then, go to one of the Good Credit agencies to have a Borrower Passport delivered to you.

The Borrower Passport to save time

Real estate sellers, whether individual or professional, do not want to waste time with insolvent buyers. Taking a security deposit when signing the promise to sell is useless because resolutive clauses allow the buyer to withdraw if he does not obtain a mortgage.

Good Credit, therefore, issues you a borrower passport, on which your borrowing capacity is registered. By presenting this passport to the real estate seller, you assure him that you have already assessed your borrowing capacity with professionals.

Is there a contribution to the mortgage?

A contribution is generally necessary to have access to the mortgage. In most of the cases, a bank or a credit company will ask a borrower to pay the purchase costs themselves. The purchase costs are the notary fees, the deposit or mortgage fees, and the administrative fees.

This is a precaution taken by the lender, who wishes to commit only to the value of the property. Count 10% of purchase costs. This means that if your borrowing capacity is $ 200,000, you can turn to real estate at $ 180,000.

However, we invite you to contact your Good Credit advisor. With it, you will be able to study precisely the price range within the reach of your budget. Then, the advisor will make you benefit from his privileged contacts with major real estate players. You will thus have a quick service: determination of your borrowing capacity, search for the desired accommodation and obtaining the mortgage.